Google boss Eric Schmidt has said law would have to change before the company would consider altering its tax arrangements.
He said the firm would continue to invest in the UK no matter what, adding that Google was proud of its profits, without which there would be a "cost".
Mr Schmidt said: "[Google] makes profits and we're proud of it... less profits has a cost...the law will have to change for Google to change its tax arrangements."
When he was asked if the current set up was "unethical", he replied: "No."
The Googe boss said the UK was "too important" for the firm.
"We will continue to invest in Britain no matter what," he added.
More top news
Oliver Letwin MP, who was in charge of Brexit negotiations for two weeks, tells ITV News what he thinks will be easy and what will be hard.
Theresa May's decision to delay green-lighting Hinkley nuclear plant has put noses out of joint. But EDF is confident it will go ahead.
Highs of 23C at best in the afternoon sunshine but feeling cooler in the mornings and the evenings.